OREANDA-NEWS. November 29, 2012. The Head of the Federal Antimonopoly Service (FAS Russia) Igor Artemiev informed the President of the Russian Federation Vladimir Putin about drafting amendments to the law facilitating foreign investments in strategic enterprises, reported the press-centre of FAS.

The full version of the shorthand record of the meeting, published on the web-site of the President of Russia:

VLADIMIR PUTIN: Igor Yurievich, we have talked a lot about the need to create favourable conditions for attracting investments in our economy, I am referring to both domestic and foreign investments. FAS has drafted amendments to the Federal Law on Foreign Investments in Strategic Enterprises. I suggest that today we shall talk in more detail about the essence of these proposals. Let’s discuss them.

IGOR ARTEMIEV: Dear Vladimir Vladimirovich, following your instructions, No. 57 Federal Law on foreign investments in the strategic fields of Russian economy [No. 57-FZ”On the Procedures for Foreign Investments in the Economic Entities of Strategic Importance for National Defence and State Security”] is already undergoing the second round of liberalization. In the past week the Government approved the amendments, which, upon being considered by the Government, will be submitted to the State Duma.

In a nutshell, the essence of the new proposals facilitating foreign investments is as follows: Firstly, it is everything that concerns use of the so-called III and IV class infectious agents (related to food products). Accordingly, investments in milk plants producing various food products shall not be considered by the Commission because the simplified procedure shall not be providing for this.

Secondly, companies that gain 75 % [shares] will be given appropriate permits (if they are going to buy shares for over 75%) and will not be required to pass the FAS Commission. There are many such companies.

Thirdly, as for public flotation of our companies outside Russia, the companies themselves will watch not to exceed the thresholds for control over strategic enterprises, but there will be no restrictions for their entry to foreign exchanges at the stages of being approved by the Commission. It is one of important issues that will significantly facilitate our investments, particularly, abroad.

Also, the constituent territories of the Russian Federation will be given the right not to seek a Commission’s approval (today only the Russian Federation enjoys this right) if Russian residents, taxpayers buy Russian strategic assets.

A number of other new rules shall be established. We have finalized the situation with banks that are completely excluded from the norms of the law. The Law becomes more precise and clear, and is based on three years of work of the Government Commission. Overall, we have had many meetings with foreign investors and all of them take a very positive view of our initiative.

VLADIMIR PUTIN: Fine.